Why is it said that filecoin has unlimited future value (can filecoin reach $1,000 in the future)?

Why is it said that filecoin has unlimited future value? Why is it said that filecoin has unlimited future value?

FileCoin is a decentralized storage network based on IPFS. The project was officially launched on November 1, 2017. Through analysis and optimization of global distributed storage systems and file systems, some pain points in the Internet field have been discovered: excessive data volume caused by data leakage; frequent data loss and theft events due to lack of effective security mechanisms (such as CPU usage) and inability to verify transactions. These factors contribute to the bubble-like feel of Filecoin’s price, but they have also surprised many investors who believe that Filecoin’s price may surpass Bitcoin because it cannot withstand market fluctuations. How does it compare to traditional investments?

Now let’s explain why Filecoin’s value can be so high:

1. Filecoin is an open-source and highly scalable network platform created by numerous developers. Users can establish a decentralized ecosystem for applications and automatically build various applications based on application scenarios. They can also use different applications to achieve a broader range of usage.

2. With the development of the Filecoin protocol, we hope that more people can participate in this platform. Therefore, I believe people will pay more and more attention to and understand Filecoin and the technology behind it, and how it brings changes to society.

Can filecoin reach $1,000 in the future?

After the launch of Filecoin’s mainnet, the market has been paying a lot of attention to this project. FIL has experienced a significant rise since last year and is currently priced at around $0.006.

But for many investors in the cryptocurrency community, this is not good news anymore, and many believe that reaching a price of $1,000 is reasonable.

Because at the end of 2017, Filecoin had only one block that could be mined (approximately 1 billion), and now its market value has reached $10 billion. If we make such an estimate, we expect that by early 2021, there will be more than 4 million Filecoins, which will be worth about $100 billion at today’s price. This means that the annual output in the coming years will exceed $1 trillion, and this growth rate is incredible. But in my opinion, even if Filecoin continues to grow next year, it will still have dozens of times higher increase. So I believe that as time goes on, the actual return will also become greater.

Therefore, as I have emphasized in previous articles, in the next few months, we will see more funds flowing into Filecoin for investment. At the same time, I also recommend that all investors participate in it, constantly research and improve. One point I personally believe in is that Filecoin has great future potential. I mentioned in the article “The Birth of IPFS”: “IPFS is actually a distributed storage network, and each node will generate content or data based on its own contribution, selecting suitable file types, sizes, and bandwidth consumption parameters. Therefore, the goal of IPFS must be to solve these problems, not just to reward people for using it.”

Of course, all of this is determined by the miners.

According to CoinMarketCap data, as of 4 am on September 28, 2020, the network’s computing power is 149.8PiB/s, which has risen from 130.4PiB at the beginning of August to 160.8TiB/s. Seven days later, the proportion of the entire network’s effective computing power increased to 20.7%, indicating that the entire ecosystem is developing in this direction. “Although we can see the huge returns of Filecoin due to the recent market downturn, we should still pay close attention to this aspect, especially some voices in the recent market:

1) Will the tokenization model of Filecoin affect its development process, such as whether the Filecoin team is willing to accept more institutional investment? 2) Is there competition between Filecoin and mainstream financial assets? 3) Can Filecoin itself bring real benefits to people?